No. of Recommendations: 1
Rick (nice initials by the way),

While I agree that hiding information from investors is not good I disagree with you in that what they are hiding is true or worthwhile information. By not releasing expected earnings (forward looking statements - we've all seen the disclaimers) companies are preventing themselves from beating those same statements "by a penny" in order to maintain a false perception of the company.

This "beating by a penny" syndrome is actually still in fashion today as a number of companies provide guidance, lower guidance half way through a quarter, and then come back and beat the lowered number by a penny. Tell me how useful that is to an investor? Subsequently in good times how important is it if a company beats their guidance by 10, 20, 30% for a particular quarter.

I'm no sage on all things Buffet, but I think Warren's got a point here in that an awful lot of effort and importance is being put into these numbers when they are effectively just educated guesses. Let's have the custodians of our money as shareholders worry about the long term aspects of the company and not worry so much about doing the job of the Wise. Heck, the Wise do it but did it help any of them during this bear? If they're going to put all this effort into that and see no benefit why would I? Why should the company? Thank you but I'll spend my time analyzing more important matters (FCF) or better yet sitting on the beach!

Simon
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